In this study, we analyzed the plantar shear stress and normal pressure in lateral heel diabetic foot patients during walking by using in-shoe local shear stress and plantar pressure measurement systems. The shear force transducer based on the magnetic-resistive principle, was a rigid 3-layer circular disc. Shear transducers were mounted on the locations of four metatarsal heads and heel in the insole. Twelve normal subjects and three diabetic foot patients with diabetic neuropathy in the lateral heel participated in this study. The center of pressure in lateral heel diabetic foot patients moved more medially and directed toward the first, medial to the second metatarsal heads, and the hallux during late stance, making pressure at the medial heel and the second metatarsal head significantly larger than in the normal. Shear stress at the heel changed significantly in early stance and the magnitude of shear stresses in each metatarsal head also changed. Further studies would be very helpful to design foot orthoses in patients with diabetic neuropathy or other diseases.